DealShare Pivots to Consumer Retail Model After Multiple Strategic Shifts
DealShare is transitioning from B2B to consumer retail, targeting tier-II cities with private-label products after multiple strategic pivots since 2022. The Tiger Global-backed startup reported a 75% revenue decline to ₹ 500 crore in 2023-24 but reduced losses from ₹ 502 crore to ₹ 167 crore. Under new leadership, the company faces intense competition in India's growing quick-commerce market projected to reach ₹ 2 trillion by 2027-28.
*this image is generated using AI for illustrative purposes only.
Tiger Global-backed DealShare is embarking on another strategic transformation, shifting from its business-to-business model to a consumer-facing retail approach as it seeks sustainable growth in India's competitive e-commerce landscape. The six-year-old startup plans to expand its retail operations beyond core markets of Jaipur and Kolkata by investing in supply chain infrastructure and distribution networks in neighboring cities.
Strategic Expansion Plans
DealShare's expansion strategy focuses on deepening presence in existing strong markets while moving into adjacent cities across Rajasthan, West Bengal, and parts of Uttar Pradesh, including Kanpur, Allahabad, and Lucknow. The company recognizes that different regions have distinct consumption patterns, with smaller cities like Jaipur and Lucknow offering opportunities where quick-commerce player density remains lower compared to metropolitan areas.
The expansion approach emphasizes region-specific strategies to adapt to constantly shifting consumer behavior, acknowledging that cities like Gurugram with gated communities face higher competition from quick-commerce players than smaller urban centers.
Multiple Strategic Pivots
Over the past two years, DealShare has undergone significant strategic changes as it worked to stabilize an unsustainable business model. The company shifted from social commerce to a B2B supply model around mid-2022, before beginning another transition in late-2023 toward a consumer-facing value retail strategy. This period was marked by repeated layoffs and reduced operations as the company focused on cost reduction.
| Milestone: | Details |
|---|---|
| Total Funding Raised: | Nearly $400 million |
| Key Investors: | Tiger Global Management, AlphaWave Global, Unilever Ventures |
| Last Valuation: | $1.7 billion (January 2022) |
| Series E Funding: | $45 million from Abu Dhabi Investment Authority |
Leadership Transformation
The appointment of Singh, a former CEO of Big Bazaar, in early 2024 reflects the company's strategy to leverage seasoned retail leadership. This change followed the departure of co-founders Vineet Bora and Sankar Bora in November 2023 amid restructuring and rising investor scrutiny. The firm's third co-founder, Sourjyendu Medda, exited in January 2024, while the fourth co-founder, Rajat Shikhar, departed in December 2025.
Financial Performance and Market Challenges
DealShare's pivot places it in direct competition with established retail players and emerging quick-commerce platforms. The company now faces competition from DMart, Vishal Mega Mart, and Reliance Retail's JioMart, while also competing against speed-focused platforms like Blinkit, Zepto, and InstaMart that are expanding into tier-II and tier-III cities.
| Financial Metric: | 2023-24 | 2022-23 | Change |
|---|---|---|---|
| Operating Revenue: | ₹ 500 crore | ₹ 2,000 crore | -75% |
| Losses: | ₹ 167 crore | ₹ 502 crore | -67% |
India's quick-commerce market is projected to grow from an estimated ₹ 64,000 crore in 2024-25 to around ₹ 2 trillion by 2027-28, according to CareEdge Ratings.
Private Label Strategy
DealShare's consumer strategy centers on expanding its private-label portfolio, which currently accounts for nearly a fourth of the firm's revenue. The company owns nearly a dozen in-house brands across staples and personal care categories, including Chemko (home care), Sampoorti (staples), Home First (home and kitchen), and X One (personal care).
This private-label focus allows DealShare to control pricing, margins, and supply more tightly than marketplace-led models, targeting value-conscious and aspirational customers. The company plans to invest more in private labels and expand product variants in each category within its strongest markets, believing this approach provides good-quality products at reasonable prices to its target customer base.
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